Save
Upgrade to remove ads
Busy. Please wait.
Log in with Clever
or
show password
Forgot Password?
Don't have an account?  Sign up 
Sign up using Clever
or
Username is available taken
show password


Make sure to remember your password. If you forget it there is no way for StudyStack to send you a reset link. You would need to create a new account. Your email address is only used to allow you to reset your password. See our Privacy Policy and Terms of Service.

Already a StudyStack user? Log In

Reset Password
Enter the associated with your account, and we'll email you a link to reset your password.
focusNode
Didn't know it?
click below
 
Knew it?
click below
Don't Know
Remaining cards (0)
Know
0:00
edit
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

  Normal Size     Small Size show me how

Intervention

Government intervention

QuestionAnswer
Price control Is used when the government believes that the market price is unfair to either buyers or sellers
When is the price unfair to buyers? It is too high
When is the price unfair to sellers? It is too low
Why might policy makers intervene in the market? Price seems unfair, they want to raise revenue, or they want to disincentives consumption or production of a certain product
Price ceiling Set when the price is believed to be too high, forces it down
Price floor Set when the price appears to be too low, force the price up
Where is a line for a price floor set? Above equilibrium point
Where is a line for a price ceiling set? Below equilibrium point
What is minimum wage? A price floor
Entry-level labor market A market of jobs where on-the-job training is sufficient. Ex. cashier, receptionist
Skilled labor market A market of jobs where the person is expected to bring skills to the job. Ex. electrician, lawyer
Who benefits from a price floor? Producers
What do price controls create? Deadweight loss
Non-binding price floor A price floor below market equilibrium
Non-binding price ceiling A price ceiling above equilibrium
Who benefits from a price ceiling? Consumers
Why are taxes implemented? To raise revenue or solve problems
What does a seller tax do? Increase supply curve by making sellers pay the tax to the government
Tax revenue The money generated from taxes, the box between surpluses and DWL on a chart
What does buyers tax do? Decrease demand curve by making buyers pay tax to the government
How do surpluses and DWL compare across taxes? They are the same
How does the tax revenue compare across taxes? It's the same
What is the one difference between taxes? Market equilibrium price
What is the rule for who pays tax revenue? The less elastic party pays more of the tax
Created by: user-2052955
 

 



Voices

Use these flashcards to help memorize information. Look at the large card and try to recall what is on the other side. Then click the card to flip it. If you knew the answer, click the green Know box. Otherwise, click the red Don't know box.

When you've placed seven or more cards in the Don't know box, click "retry" to try those cards again.

If you've accidentally put the card in the wrong box, just click on the card to take it out of the box.

You can also use your keyboard to move the cards as follows:

If you are logged in to your account, this website will remember which cards you know and don't know so that they are in the same box the next time you log in.

When you need a break, try one of the other activities listed below the flashcards like Matching, Snowman, or Hungry Bug. Although it may feel like you're playing a game, your brain is still making more connections with the information to help you out.

To see how well you know the information, try the Quiz or Test activity.

Pass complete!
"Know" box contains:
Time elapsed:
Retries:
restart all cards